Recovery in consumption poised to spur growth

Socio-Economic Research Centre's Lee says the launch of EPF Account 3 alone is expected to pump some RM25bil into the system and may see some extra discretionary spending by households.

THE prevailing cautious consumer sentiment may see a gradual improvement in the year, thanks to several measures that could boost household spending power in Malaysia.

The government’s decision to raise civil servants’ salary and the Employees Provident Fund’s (EPF) launch of Account 3 for flexible withdrawals, for instance, are expected to have a positive impact on consumer sentiment.